Sunal Associates, Ahmedabad V. The Income tax Officer,Ward-9(1), Ahmedabad

ITA 3325/AHD/2010

• Counselvise Citation: 332520514 RSA 2010
• Duration Of Justice: 1 year(s) 11 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-11-2012
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2007-2008
• Appeal Filed On: 15-12-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: Y P VERMA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AT AHMEDABAD B BENCH BEFORE: SHRI D.K. TYAGI, JUDICIAL MEMBER AND SHRI T.R. MEENA, ACCOUNTANT MEMBER I.T.A. NO.3325/AHD/2010 A.Y. 2007-08 M/S SUNAL ASSOCIATES, 606, KAIVANNA NR. PANCHVATI CHAR RASTA, AHMEDABAD PAN-ABDFS0446G APPELLANT VS. THE INCOME TAX OFFICER, WARD 9(1) AHMEDABAD RESPONDENT DEPARTMENT BY : SHRI Y.P. VERMA, SR. D.R. ASSESSEE BY : SHRI MANISH J. SHAH, A.R. DATE OF HEARING : 30.11.2012 DATE OF PRONOUNCEMENT : 30.11.2012 / ORDER PER : D.K. TYAGI, JUDICIAL MEMBER THIS IS ASSESSEES APPEAL AGAINST THE ORDER OF LD. CIT(A)-XV, AHMEDABAD DATED 7 TH OCTOBER, 2010. 2. THE ASSESSEE, IN THIS APPEAL, IS AGGRIEVED BY TH E DECISION OF THE LOWER AUTHORITIES IN MAKING AN ADDITION OF RS.2,02,800/- BY INVOKING THE PROVISION OF SECTION 40(A)(IA) OF THE ACT. 3. DURING THE ASSESSMENT PROCEEDINGS THE A.O. FOUND THAT TDS DEDUCTED AT SOURCE FROM THE PAYMENT MADE TO LABOURERS WAS NO T DEPOSITED IN THE GOVERNMENT ACCOUNT DURING THE PRESCRIBED TIME. THE REFORE, THE A.O., INVOKING THE PROVISION OF SECTION 40(A)(IA) OF THE ACT MADE ADDITION OF RS.2,02,800/- TO THE INCOME OF THE ASSESSEE. THIS ACTION OF THE A.O. WAS CONFIRMED BY LD. CIT(A) WHEN ASSESSEE WENT IN APPEA L BEFORE HIM. 4. AFTER HEARING BOTH THE PARTIES AND PERUSING THE RECORD WE FIND THAT THERE IS NO DISPUTE ABOUT THE FACT THAT TAX DEDUCTE D AT SOURCE FROM THE PAYMENT MADE TO THE LABOURER WAS DEPOSITED BY THE A SSESSEE IN THE I.T.A. NO.3325/AHD/2010 A.Y. 2007-08 2 GOVERNMENT ACCOUNT ON 09.04.2007 I.E. BEFORE DUE DA TE OF FILING OF RETURN. ON THESE FACTS, THE RATIO AS LAID DOWN BY JURISDICT IONAL ITAT IN THE CASE OF M/S ALPHA PROJECT WHEREIN IT WAS HELD THAT IF TDS HAS B EEN DEPOSITED IN THE GOVERNMENT ACCOUNT BEFORE DUE DATE OF FILING OF RET URN, NO DISALLOWANCE U/S 40(A)(IA) OF THE ACT CAN BE MADE, IS APPLICABLE IN THIS CASE. FOLLOWING THE SAME, THE ADDITION OF RS.2,02,800/- MADE BY THE A.O . AND SUSTAINED BY LD. CIT(A) IS HEREBY DELETED. 5. IN THE RESULT, ASSESSEES APPEAL IS ALLOWED. ORDER PRONOUNCED IN OPEN COURT ON 30.11.2012 SD/- SD/- (T.R. MEENA) (D.K. TYAGI) ACCOUNTANT MEMBER JUDICIAL MEMBER N.K. CHAUDHARY, SR. P.S. COPY OF THE ORDER FORWARDED TO: 1. THE APPLICANT 2. THE RESPONDENT 3. THE CIT CONCERNED 4. THE LD. CIT (APPEALS) 5. THE DR, AHMEDABAD 6. THE GUARD FILE BY ORDER AR,ITAT,AHMEDABAD